Case Study

Microsoft in Hot Water After Search of Hotmail Account

Microsoft was roundly criticized for broadly interpreting its own privacy policy to justify searching a Hotmail account for the company’s benefit. As part of a search for an insider who had leaked company information, Microsoft scoured the Hotmail inbox of the blogger publishing information on the leaks. The company initially defended its actions when the search became public, claiming its privacy policy authorized the search. After significant backlash from users and the press, Microsoft reversed its position, apologized for its actions, and changed its privacy policy to require the company to refer matters involving Microsoft property to law enforcement.